Like barcode and voice data entry, Radio Frequency identification (“RFID”) is a contactless information acquisition technology. RFID systems are wireless, and are usually extremely effective in hostile environments where conventional acquisition methods fail.
Companies that provide consumers with transaction accounts are looking for ways to permit RFID transaction completion. Because of its diminutive size, RFID technology may be incorporated in transaction devices that are dimensionally smaller than traditional smartcards or credit cards and the like. RFID technology, therefore, is better suited for securing against loss or theft. For example, companies have embodied the RFID technology in form factors that consumers are accustomed to keeping track of, such as a key chain, fob or tag. The key chain fob may be easily secured because of its diminutive size and because it is frequently handled by consumers as compared to traditional smart cards and transaction cards.
RFID transaction devices have the additional advantage of being more convenient to present for transaction completion than traditional transaction cards. For example, when using an RFID transaction device attached to a fob, the consumer need only present the RFID transaction device in proximity to an RFID reader instead of surrendering physical control of the transaction device which must be done with traditional credit cards and smartcards.
By providing an RFID transaction device (e.g., fob) as described above, transaction account providers are able to attract account consumers in increasing numbers. The account consumers often prefer account providers which offer the RFID transaction device option because of the convenience of use and the increased security using an RF transaction fob provides. As such, because of the increased popularity and benefits associated with RFID transaction devices, many banking and financing institutions, department stores, petroleum companies and other organizations have developed their own RFID transaction devices for use by the organization's consumers.
Key chain or fob form factors have a major drawback in that the form factors are still susceptible to being lost or misplaced by the fob owner. Additionally, the key chain or fob form factors are sometimes inconvenient in that the consumer must still handle the form factor to present it for transaction completion.